TMI Blog1967 (12) TMI 15X X X X Extracts X X X X X X X X Extracts X X X X ..... an expenditure as for current repairs - assessee's claim is acceptable - - - - - Dated:- 13-12-1967 - Judge(s) : RAMAPRASADA RAO., VEERASWAMI. JUDGMENT The judgment of the court was delivered by VEERASWAMI J.-This reference relates to the assessment year 1960-61. The assessee is a co-operative society for ex-servicemen engaged in transport of goods and passengers. It appears till 1959-60 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is concerned, it is not disputed that it is covered by Commissioner of Income-tax v. Straw Products Ltd., a decision of the Supreme Court, in favour of the assessee. On the second question too we are of opinion that we should answer in favour of the assessee. The finding of the Tribunal is that the assessee completely renovated the body of a certain motor vehicle by putting in a new body on an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ciding the issue was whether what was done constituted the creation of a new asset. Applying these tests, it was of opinion that this was a case of repair to an existing asset with a view to earn revenue. We are of the same view. The broad test, in our opinion, to find out whether it is a repair is to see whether what has been done is to an existing asset and that by doing the thing, the result is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ies of lorries were renewed and the decision was that it amounted to current repairs within the meaning of section 10(2)(v). That case has direct application here. In Hanuman Motor Service v. Commissioner of Income-tax, Mysore High Court pointed out : " In finding out whether a given case falls within the scope of clause (v) of section 10(2), the true test is whether, as a result of the expendi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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